NasdaqCM:FCAP

Stock Analysis Report

Executive Summary

First Capital, Inc. operates as the bank holding company for First Harrison Bank that provides various banking services to individuals and business customers.

Rewards

Earnings have grown 14.1% per year over the past 5 years

Risk Analysis

No risks detected for FCAP from our risk checks.


Snowflake Analysis

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

How has First Capital's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FCAP has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.2%

FCAP

-0.1%

US Banks

1.7%

US Market


1 Year Return

69.6%

FCAP

15.5%

US Banks

23.6%

US Market

Return vs Industry: FCAP exceeded the US Banks industry which returned 21.7% over the past year.

Return vs Market: FCAP exceeded the US Market which returned 24.7% over the past year.


Shareholder returns

FCAPIndustryMarket
7 Day-3.2%-0.1%1.7%
30 Day6.6%-1.6%3.5%
90 Day16.4%7.4%11.7%
1 Year72.6%69.6%18.9%15.5%26.2%23.6%
3 Year145.8%129.8%34.6%25.1%53.2%43.3%
5 Year247.3%205.4%86.0%65.1%75.5%56.1%

Price Volatility Vs. Market

How volatile is First Capital's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is First Capital undervalued compared to its fair value and its price relative to the market?

23.18x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: FCAP ($72.8) is trading above our estimate of fair value ($44.82)

Significantly Below Fair Value: FCAP is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: FCAP is poor value based on its PE Ratio (23.3x) compared to the Banks industry average (12.8x).

PE vs Market: FCAP is poor value based on its PE Ratio (23.3x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate FCAP's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: FCAP is overvalued based on its PB Ratio (2.5x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is First Capital forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

2.5%

Forecasted Banks industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as First Capital has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has First Capital performed over the past 5 years?

14.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FCAP has high quality earnings.

Growing Profit Margin: FCAP's current net profit margins (29.8%) are higher than last year (26.2%).


Past Earnings Growth Analysis

Earnings Trend: FCAP's earnings have grown by 14.1% per year over the past 5 years.

Accelerating Growth: FCAP's earnings growth over the past year (24.9%) exceeds its 5-year average (14.1% per year).

Earnings vs Industry: FCAP earnings growth over the past year (24.9%) underperformed the Banks industry 27.1%.


Return on Equity

High ROE: FCAP's Return on Equity (10.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is First Capital's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: FCAP has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if FCAP's debt is covered by short term assets.


Financial Institutions Analysis

Asset Level: FCAP's level of assets compared to its equity is low.

Allowance for Bad Loans: FCAP has a sufficient allowance for bad loans.

Low Risk Liabilities: FCAP's liabilities are made up of primarily low risk sources of funding.

Loan Level: FCAP has an acceptable proportion of non-loan assets held.

Low Risk Deposits: FCAP's loans are broadly funded by customer deposits.

Level of Bad Loans: FCAP has an appropriate level of bad loans (0.37%)


Next Steps

Dividend

What is First Capital's current dividend yield, its reliability and sustainability?

1.32%

Current Dividend Yield


Dividend Yield vs Market

company1.3%marketbottom25%1.4%markettop25%3.7%industryaverage2.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: FCAP's dividend (1.32%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.4%).

High Dividend: FCAP's dividend (1.32%) is low compared to the top 25% of dividend payers in the US market (3.66%).


Stability and Growth of Payments

Stable Dividend: FCAP's dividends per share have been stable in the past 10 years.

Growing Dividend: FCAP's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (30.1%), FCAP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of First Capital's salary, the management and board of directors tenure and is there insider trading?

20.0yrs

Average management tenure


CEO

Bill Harrod (63yo)

20yrs

Tenure

US$336,594

Compensation

Mr. William W. Harrod has been Chief Executive Officer and President at First Capital Inc. since January 2000 and serves as its Chief Operating Officer. Mr. Harrod has also been the Chief Executive Officer ...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD336.59K) is below average for companies of similar size in the US market ($USD1.08M).

Compensation vs Earnings: Bill's compensation has been consistent with company performance over the past year.


Management Age and Tenure

20.0yrs

Average Tenure

51yo

Average Age

Experienced Management: FCAP's management team is seasoned and experienced (20 years average tenure).


Board Age and Tenure

13.5yrs

Average Tenure

61yo

Average Age

Experienced Board: FCAP's board of directors are seasoned and experienced ( 13.5 years average tenure).


Insider Trading

Insider Buying: FCAP insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$180,00008 Nov 19
Michael Shireman
EntityIndividual
Role
Chairman of the Board
Independent Chairman of the Board
Shares3,000
Max PriceUS$60.00
SellUS$42,07408 Aug 19
Samuel Uhl
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares750
Max PriceUS$56.10
SellUS$205,46030 Jul 19
Michael Shireman
EntityIndividual
Role
Chairman of the Board
Independent Chairman of the Board
Shares3,802
Max PriceUS$54.04
BuyUS$96,79803 Jun 19
Dennis Huber
EntityIndividual
Shares1,986
Max PriceUS$48.74
BuyUS$50,00024 May 19
Dennis Huber
EntityIndividual
Shares1,000
Max PriceUS$50.00
SellUS$80,83216 May 19
Samuel Uhl
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,600
Max PriceUS$50.52
SellUS$51,96808 May 19
Samuel Uhl
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,014
Max PriceUS$51.25
SellUS$31,72407 May 19
Samuel Uhl
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares619
Max PriceUS$51.25
SellUS$1,78501 Mar 19
Samuel Uhl
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares35
Max PriceUS$51.00
SellUS$295,25827 Feb 19
Samuel Uhl
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,785
Max PriceUS$51.17
BuyUS$11,27008 Feb 19
Dennis Huber
EntityIndividual
Shares245
Max PriceUS$46.00
SellUS$6,87106 Feb 19
Samuel Uhl
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares151
Max PriceUS$45.50
SellUS$27,11705 Feb 19
Michael Frederick
EntityIndividual
Role
Chief Financial Officer
Senior EVP
Shares600
Max PriceUS$45.30

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Bill Harrod (63yo)

    President

    • Tenure: 20yrs
    • Compensation: US$336.59k
  • Michael Frederick (51yo)

    Senior EVP

    • Tenure: 23yrs
    • Compensation: US$222.99k
  • Jill Keinsley (51yo)

    Executive VP

    • Tenure: 13.4yrs
    • Compensation: US$184.47k
  • Jeff Thomas

    Director of Business Development & Director of Business Development of First Harrison Bank


    Board Members

    • Bill Harrod (63yo)

      President

      • Tenure: 20yrs
      • Compensation: US$336.59k
    • Sam Uhl (74yo)

      Independent Director

      • Tenure: 25yrs
      • Compensation: US$30.16k
    • Mark Shireman (68yo)

      Independent Director

      • Tenure: 31yrs
      • Compensation: US$34.75k
    • Mike Shireman (71yo)

      Independent Chairman of the Board

      • Tenure: 3.7yrs
      • Compensation: US$30.16k
    • Kathy Ernstberger (56yo)

      Independent Director

      • Tenure: 17yrs
      • Compensation: US$30.16k
    • Craig Stanley

      Member of Advisory Board

      • Anne Ragains

        Member of Advisory Board

        • Carolyn Wallace (49yo)

          Independent Director

          • Tenure: 10yrs
          • Compensation: US$30.16k
        • Pam Kraft (59yo)

          Independent Director

          • Tenure: 9.7yrs
          • Compensation: US$30.16k
        • Dana Huber (52yo)

          Independent Director

          • Tenure: 4.9yrs
          • Compensation: US$30.16k

        Company Information

        First Capital, Inc.'s company bio, employee growth, exchange listings and data sources


        Key Information

        • Name: First Capital, Inc.
        • Ticker: FCAP
        • Exchange: NasdaqCM
        • Founded: 1891
        • Industry: Regional Banks
        • Sector: Banks
        • Market Cap: US$243.863m
        • Shares outstanding: 3.36m
        • Website: https://www.firstharrison.com

        Number of Employees


        Location

        • First Capital, Inc.
        • 220 Federal Drive, NW
        • PO Box 130
        • Corydon
        • Indiana
        • 47112
        • United States

        Listings

        TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
        FCAPNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDJan 1999

        Biography

        First Capital, Inc. operates as the bank holding company for First Harrison Bank that provides various banking services to individuals and business customers. The company offers a range of deposit instruments, including non-interest bearing checking accounts, negotiable order of withdrawal accounts, money market accounts, regular savings accounts, certificates of deposit, and retirement savings plans. It also provides real estate mortgage loans, such as fixed-rate and adjustable rate mortgage residential loans, construction loans for residential and commercial properties, and commercial real estate loans, as well as commercial business loans. In addition, the company originates mortgage loans for sale in the secondary market and sells non-deposit investment products; and offers various secured or guaranteed consumer loans comprising automobile and truck loans, home equity loans, home improvement loans, boat loans, mobile home loans, and loans secured by savings deposits, as well as unsecured consumer loans. It provides its products and services through 18 locations in Indiana and Kentucky. First Capital, Inc. was founded in 1891 and is headquartered in Corydon, Indiana. 


        Company Analysis and Financial Data Status

        All financial data provided by Standard & Poor's Capital IQ.
        DataLast Updated (UTC time)
        Company Analysis2020/01/19 23:37
        End of Day Share Price2020/01/17 00:00
        Earnings2019/09/30
        Annual Earnings2018/12/31


        Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.